NAHB News
Multifamily Builders Report Going Green
More of the nation's apartments and condos are going green as multifamily builders and developers respond to growing consumer interest in sustainable building practices, according to a recent survey by NAHB.
"Apartments and condos are inherently green, because they offer more compact development to begin with," says Steve Patterson, chairman of NAHB's Multifamily Leadership Board and an apartment and condo developer from Orlando. "With today's heightened consumer interest in green, multifamily builders are embracing more green and recyclable products, and are more willing to invest in energy efficiency."
While a majority of the survey respondents-74 percent-stated that buyers and renters are willing to pay more for green amenities, the median additional amount they are willing to pay is only about 2 percent.
In the NAHB survey, which polled multifamily builders and developers nationwide on their green building practices, 89 percent of respondents reported that they are installing energy efficient appliances and lighting in their multifamily communities.
The survey also found that:
- 79 percent are using windows with Low-E glass
- 64 percent are using recycled and recyclable products
- 50 percent are using significantly more insulation than required by the building code-a number that rises to 70 percent of West Coast respondents.
NAHB has submitted a voluntary Green Building Standard to the American National Standards Institute to enable builders and remodelers of single-family and multifamily residences to obtain independent, third-party certification of their green construction work.
Apply for NAHB SAFE Award
Applications for the 2008 NAHB Safety Award for Excellence (SAFE), which provides recognition for home builders who develop outstanding work-site safety programs, are now available.
Applications are due by Oct. 13.
The award honors the achievements of builders and trade contractors who have developed and implemented high-quality construction safety programs, as well as those government officials and NAHB-affiliated associations who have made successful efforts to advance safety in the homebuilding industry.
Last year, 14 companies were cited for their safety achievements. The homebuilders and housing industry professionals who have received SAFE awards during the past two programs are "an outstanding representation of the commitment to safe behavior and safety education practiced by NAHB members across the country," says Buck Roberts, president of A.B. Roberts Construction Company in Anderson, S.C., and chairman of NAHB's Construction Safety and Health Committee. "We look forward to recognizing many more safety best practices in Las Vegas in January in the 2008 SAFE awards."
NAHB member companies in good standing that build residential homes or town homes using light construction methods can apply for a SAFE award. Specialty trade contractors, remodelers and light commercial and multifamily builders, as well as NAHB-affiliated associations and federal or state Occupational Safety and Health Administration (OSHA) officials who have been nominated by an NAHB member or association, are also welcome to apply.
Awards will be made in a variety of categories. Award winners will be recognized during a breakfast ceremony on Jan. 20 during the 2009 International Builders' Show in Las Vegas. Winners will receive an award and coverage in this publication.
Seminar Looks at Investing in Affordable Housing
The Office of the Comptroller of the Currency's (OCC) Community Affairs Department held a live web and telephone seminar on opportunities for banks that invest in projects funded through Low-Income Housing Tax Credits (LIHTC) in September.
The OCC charters regulate and supervise all national banks and monitor its compliance with consumer banking laws, including the Community Reinvestment Act (CRA).
The OCC's Community Affairs Department helps banks develop innovative ways to meet its community development responsibilities. Builders can use department resources to help educate their lenders on the variety of activities that are CRA eligible, including the development of affordable housing.
Barry Wides, the deputy comptroller of the currency for community affairs, recently met with NAHB to discuss what the OCC does and to encourage NAHB members to talk to their lenders about CRA activities. The OCC is particularly interested in encouraging banks to invest in Low Income Housing Tax Credit projects.
The seminar will help bankers understand how the LIHTC program works and the current market conditions affecting pricing. The seminar will also focus on underwriting LIHTC funds; financial, tax and accounting benefits; and what to look for in a good fund manager. Participants will have an opportunity to ask panelists questions during the seminar, either online or by telephone.
The seminar is part of the OCC's educational outreach efforts to enable members from the banking community across the country to listen to agency experts and industry professionals.
The seminar costs $115 for national banks and $150 for others.
New Home Sales Rise 2.4 Percent in July
The Commerce Department reported sales of newly built single-family homes rose 2.4 percent to a seasonally adjusted annual rate of 515,000 units in July. The report also indicated continuing contraction in the number of new homes for sale as builders keep a tight rein on inventories to help restore better balance between market supply and demand.
"With 15 consecutive months of reductions in the number of new homes sales, builders are clearly doing a good job of chipping away at their inventories," says Sandy Dunn, president of the National Association of Home Builders. "Now that the government has also done its part by passing a much-needed housing stimulus package, we are looking forward to positive effects on new home sales in the near future."
"While the improvement in new home sales in July is definitely a favorable development, it comes on the heels of two consecutive months of significant downward revisions to sales numbers for May and June, so we have to keep the latest report in perspective," says NAHB Chief Economist David Seiders.
"Nevertheless, we are cautiously optimistic that home sales are approaching a bottom, and that the newly enacted first-time home buyer tax credit (which went into effect as part of the housing stimulus bill on July 30) will help stimulate sales and provide crucial support for a market turnaround."
Commerce's report indicated that the inventory of new homes for sale declined for a fifteenth consecutive month in July to 416,000 units, the lowest number since April 2007. This reflects a 10.1 months' supply at the current sales pace, down from 10.7 in June.
On a regional basis, where estimates are subject to large month-to-month variations, sales activity was mixed in July. The Northeast posted a nearly 39 percent gain, the West posted a 9.9 percent gain, the Midwest posted an 8.2 percent decline and the South posted a 2.5 percent decline. Every region registered declines in the number of new homes for sale in July.
